Home Ownership Declining

I mentioned in a previous post that now is a great time to own a rental. The demand for rental homes has been rising because so many people have lost their homes to foreclosure, lost their jobs, and/or are having a tough time qualifying for a mortgage because of the more strict underwriting standards. On July 29th the U.S. Department of Commerce’s Census Bureau released a report showing that the number of Americans who own their own homes has declined to a level not seen since 1998. Currently 65.9% of Americans live in a home they own. Interestingly, Morgan Stanley analysts say that there are 7.5 million home owners who are delinquent on their mortgages. If those people were to be removed from the equation the home ownership rate in the United States would only be 59.7%. The lowest recorded rate of home ownership (62.9%) was in 1965 when the Census Department began keeping records. Analysts say that the level of home ownership could decline another 1% – 2% depending on what happens with our current economic situation.

These numbers are great news for people who own rental properties and for people who are looking to buy either a primary residence or an investment property. Add to that the fact that late last week mortgage interest rates hit an all time low and now is a great time to buy a home. Give us a call for a complete list of Central Oregon homes that are for sale in your price range.